Apple’s swagger returns as fever around new products builds

“It would be unfair to say that Apple has got its mojo back this summer, since I’m sure the company and many of its fans would say it never lost it,” Chris O’Brien writes for The Los Angeles Times. “But as the tech giant prepares to release third quarter earnings Tuesday, it’s certainly riding some serious momentum.”

“One indicator is the stock price. A year ago, the company had seen its stock fall almost by half, creating a cloud of gloom around Apple and causing some whispers about the leadership of Chief Executive Tim Cook,” O’Brien writes. “Now, the stock has regained nearly all those losses. Cook has soothed the nerves of activist investors such as Carl Icahn who were threatening a revolt. Those rebel voices were quieted by an increase in share buybacks and dividends.”

“Samsung recently reported poor earnings that has observers questioning the South Korean’s approach to smartphones. Basically, many of the same concerns being raised about Apple a year ago are now being directed at Samsung,” O’Brien writes. “Part of the growing momentum comes from another wave of hype over new products. Conventional wisdom says Apple will release an iPhone 6 with a bigger screen in the fall. And the long-rumored iWatch is also expected. ‘In our view, tomorrow’s conference call is of much less significance than past quarterly reports, as we believe investors are more focused on the ‘Fab Fall’ launch (e.g., iPhone 6, ‘iWatch,’ etc.),’ wrote Brian White, a Cantor Fitzgerald analyst, in a note on Monday to clients.”

Read more in the full article here.

14 Comments

  1. it always amazes me how Apples company perception changes according to the Stock Price. Now that its back to the 700 area, it’s got mojo, new products are great. Same company at 400 was beleaguered, Tim Cook had to go.. Samsung was innovating so much faster. blablablablaa

    1. It’s funny: a publicly traded company’s stock price in our world is entirely based on the perceptions of others, and yet that price is what drives perception. It’s a never-ending cycle of idiocy that prevents logical evaluations of a company’s worth based on what that company is actually doing.

      At least Apple is big enough, and good enough, to weather the downward trends in that cycle.

      1. Yes as these idiots talked up the lack of perception they are now programmed to talk up the new heightening perception or look like idiots. What goes on in their minds is genius, though sadly of no practical use whatsoever.

  2. “Basically, many of the same concerns being raised about Apple a year ago are now being directed at Samsung”

    There is a huge difference. The concerns around Apple a year ago were just related to analyst’s incorrect perceptions of Apple. Apple has not significantly changed since then and yet the company is now regarded as doing much better. In a nutshell, the doomsayers from a year ago have been proven wrong.

    Samsung’s problem is not to do with perception of the company, the problems are real, with poor sales of flagship phones while Apple is about to raise the bar even higher. At the other end of the scale, Samsung’s budget phones are facing fierce competition from Chinese manufacturers.

    Samsung is being squeezed from both ends. Furthermore Samsung’s component division is progressively being eliminated from Apple’s supply chain.

    There is a world of difference between Apple doing well a year ago, but hopelessly misunderstood by analysts, compared to Samsung who is failing to deliver what customers want and whose profits are tumbling.

    1. Do you remember when the ‘experts’ and their lackeys on here were demanding Apple follow Samsung’s strategy or die. Funny to think of that now isn’t it. Im sure however they are working on their next piece of foolery at this very moment in the hope like endless monkeys on endless typewriters one day they will get it right.

  3. Have you noticed how Apple enemies have dropped the android mantle and is now carrying the Samsung drumbeat. In Best Buy yesterday it seemed as though I was in a Samsung corporate store. Samsung logos everywhere.

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